Regional commercial developer faces liquidation

A powerful regional player in commercial real estate development faced liquidation due to the recent distressed market. With more than $300 million in debt outstanding, the Minnesota-based company’s board of directors retained Cordes & Company to provide a valuation of the 17 properties and parcels within its portfolio. After we concluded that the company was “in the zone of insolvency,” we were asked to prepare an orderly liquidation plan. Our analysis was used as a benchmark to evaluate third-party offers for the company and/or its assets. The company ultimately chose to work with its creditors and execute the plan we developed.